The world is still trying to figure out how to classify cryptocurrencies and it’s variants, and Gibraltar has decided to regulate ICOs as commercial products.
In a whitepaper released this week, the country detailed that most tokens are not considered securities under law either in Gibraltar or the EU.
It reads: “In common with governments and regulators around the world, HM Government of Gibraltar and the Gibraltar Financial Services Commission have observed the rapidly rising use of ICOs as a means of crowd financing.
“Since announcement of the DLT regulatory framework in May 2017, Gibraltar has become, and is expected to remain, an attractive jurisdiction from which to conduct unregulated ICOs.”
So, while many other countries have classified these tokens as securities, Gibraltar has decided that “in many cases, [tokens] represent the advance sale of products that entitle holders to access future networks or consume future services,” and so they are commercial products.